GAO-04-746R Iraq’s Transitional Law 

May 25, 2004 

The Honorable Richard G. Lugar 

Chairman 

The Honorable Joseph R. Biden, Jr. 

Ranking Member 

Committee on Foreign Relations 

United States Senate 

The Honorable Henry J. Hyde 

Chairman 

The Honorable Tom Lantos 

Ranking Member 

Committee on International Relations 

House of Representatives 

Subject: Iraq’s Transitional Law 

On June 30, 2004, the Coalition Provisional Authority (CPA) intends to transfer power 

in Iraq to a fully sovereign Iraqi interim government.1

 CPA and the Iraq Governing 

Council took a fundamental step toward this goal in March 2004, when they signed 

the Law of Administration for the State of Iraq for the Transitional Period

(hereafter referred to as the transitional law). The transitional law is intended to 

govern the affairs of Iraq until Iraqis approve a permanent constitution and a 

permanent Iraqi government takes office.2

 

GAO has ongoing and completed work reviewing various aspects of the U.S. effort to 

reconstruct Iraq. Our ongoing work includes reviewing the costs associated with 

reconstruction; the process used to award reconstruction contracts; efforts to 

develop Iraq’s security forces; the rebuilding of Iraq’s oil, electricity, and water 

infrastructure; and programs to help Iraq develop a unified, democratic government. 

For this report, we describe the following information as it exists at this time: (1) the 

time frames and Iraqi governmental structures established by the transitional law; (2) 

arrangements in the law for the U.S.-led multinational force, Iraqi security forces, and 

militias; and (3) mechanisms in the law for resolving disputes over property and 

territories within Iraq. In each of these areas, we also explain the transitional law’s 

 

1

The Coalition Provisional Authority (CPA) is the U.N.-recognized coalition authority, led by the United 

States and the United Kingdom, responsible for the temporary governance of Iraq. 

2

The transitional law states that on June 30 a “fully sovereign Iraqi Interim Government” will take 

power. However, the law does not further elaborate the structure or authority of the interim 

government.

United States General Accounting Office

Washington, DC 20548 
Page 2 GAO-04-746R Iraq’s Transitional Law

references to other Iraqi laws and legal provisions that help implement the 

transitional law. Where legal provisions to address these issues have not been 

completed, we describe the progress toward their completion or other actions to 

address the issues. We recognize that the situation is fluid and that there are ongoing 

efforts to address unresolved issues. 

To address these objectives, we examined the transitional law and related CPA 

regulations, orders, and memoranda, as well as assessments of Iraqi institutions 

prepared by the Department of Justice and nongovernmental organizations. We met 

with officials from the Departments of State (State), Defense (DOD), and Justice, and 

CPA to clarify provisions of the transitional law. We also discussed with these 

officials progress toward completing provisions referred to in the transitional law, 

such as the annex and electoral laws. We conducted our review from March to May 

2004 in accordance with generally accepted government auditing standards. 

Overview 

Iraq’s transitional law divides the transitional period into two phases3—the interim 

government phase, which begins June 30, 2004, and the transitional government 

phase, which begins after elections for a National Assembly are held and the 

transitional government is formed. The law does not specify how the interim 

government is to be formed or structured, but provides that the interim government 

will govern in accordance with an annex to be developed. Since April 2004, the 

United Nations has been playing a key role in helping form and structure the interim 

government. Elections for the National Assembly are to be held no later than January 

31, 2005, under an election law that, according to CPA officials, they aim to complete 

before the transfer of power. For the transitional government phase, the transitional 

law details the government’s structure and responsibilities, including procedures for 

developing a permanent constitution and the federal structure. The National 

Assembly will draft a permanent constitution for the Iraqi people’s approval in a 

general referendum. However, if a majority of Iraqi voters or if two-thirds of the 

voters in 3 of Iraq’s 18 governorates reject the constitution, elections for a new 

National Assembly will be held and the process of drafting a permanent constitution 

begins again. To prevent the concentration of power in the federal government, the 

transitional law encourages local authority during the transitional period. The 

transitional law recognizes the Kurdistan Regional Government and specifies that it 

controls the police forces and internal security in the Kurdistan region. 

The transitional law includes some provisions under which Iraqi security forces and 

the multinational force will provide security in Iraq after the transfer of power. 

Officials from DOD and State are examining what additional provisions, if any, may 

be necessary to further define the role of the multinational force after June 30, 

including a new U.N. Security Council resolution or revisions to existing CPA orders. 

The transitional law also outlines elements of the command and control structure for 

 

3

Under the transitional law, the transitional period covers the interim government phase and the 

transitional government period. The interim government phase begins June 30, 2004, and the 

transitional government phase ends with the formation of an elected Iraqi government under a 

permanent constitution. 
Page 3 GAO-04-746R Iraq’s Transitional Law

some Iraqi security forces and outlaws all militias not under the command structure 

of the transitional government, except where provided by federal law. According to 

State and DOD officials, CPA is currently considering how it could further elaborate 

on provisions for both of these areas. 

The transitional law includes provisions for the transitional government to implement 

that are related to resolving disputes over property rights and territory. These 

disputes resulted from the previous regime’s practices in altering the demographic 

character and boundaries of certain regions and territories, including Kirkuk. One 

provision calls for compensating residents who were deported, expelled, or who 

emigrated, by restoring their homes and property to them, or, where this is infeasible, 

providing just compensation within a reasonable time. Another provision establishes 

a process Iraqis will use to resolve the status of disputed territories. If Iraqis cannot 

resolve the status of disputed territories through the prescribed processes, they 

would request assistance from the United Nations. 

The transitional law provides a road map for establishing a permanent, unified, and 

democratic government in Iraq. Nonetheless, some issues related to the transfer of 

power remain unresolved. For example, the transitional law does not specify how 

the interim government is to be structured, nor does it fully clarify the authority of a 

multinational force in Iraq after the transition of power. U.S. officials and others are 

working to resolve these and other issues before June 30, to ensure that the transfer 

of authority can proceed as planned. These issues are discussed in our summary. 

The Departments of State and Justice declined to provide comments on a draft of this 

correspondence. The Department of Defense and the Coalition Provisional Authority 

did not provide official comments, but sent us technical comments, which we 

incorporated as appropriate.

Background 

On November 15, 2003, the Iraq Governing Council and CPA signed an agreement on 

the steps needed to transfer power to an Iraqi transitional administration. The Iraq 

Governing Council completed a key step in this process by drafting the transitional 

law in consultation with CPA and signing it on March 8, 2004. The transitional law 

states that it is the supreme law of the land and that it is binding in all parts of Iraq 

during the transitional period. It contains 62 articles that (1) protect or guarantee 

fundamental rights for all Iraqis, including the right of free expression, peaceable 

assembly, religion, and a fair and public hearing by an impartial tribunal and (2) 

outline the structure and authority of Iraq’s transitional government, including its 

federal structure and legislative, executive, and judicial branches. 

The transitional law also states that it cannot be amended except by the approval of 

Iraq’s transitional presidency council and a three-fourths majority of the National 

Assembly. Similarly, all laws in place in Iraq before June 30, 2004, will remain in 

force until amended or rescinded by the transitional government. Similarly, CPA 

laws, regulations, orders, and directives shall remain in force until amended or 

rescinded by duly enacted legislation. The law also makes Islam the official religion 

of Iraq and states that Islam is a source of legislation. The law clarifies this by stating 

that no law that contradicts the universally agreed tenets of Islam, the principles of 
Page 4 GAO-04-746R Iraq’s Transitional Law

democracy, or other rights may be enacted. Moreover, it guarantees to all individuals 

full freedom of religious belief and practice. 

To support governance and security issues related to implementing the transitional 

law, the United States had obligated about $1.7 billion as of April 2004. This includes 

$244 million for the Iraqi police and security forces; $378 million for rule of law and 

democracy building, including the interim and transitional governments; and 

$1.08 billion for CPA and U.S. agencies’ operating expenses in Iraq. 

Time Frames and Establishment of an Iraqi Government 

during the Transitional Period 

The transitional law divides the transitional period into two phases. The first phase 

begins June 30, 2004, when a fully sovereign interim government assumes power. 

The transitional law does not detail how the interim government is to be formed or 

how it will be structured, but refers to an annex to be developed before June 30, 2004. 

As of May 2004, the United Nations was playing a key role in helping form this interim 

government. During the interim government phase, elections for a National Assembly 

are to be held no later than January 31, 2005. The second phase begins after the Iraqi 

people elect the National Assembly and the transitional government is formed. The 

transitional government will then draft a permanent constitution for the Iraqi people’s 

consideration. The second phase will end once the Iraqi people approve a permanent 

constitution and elect a permanent government. Figure 1 shows the key dates for the 

two phases. 
Page 5 GAO-04-746R Iraq’s Transitional Law

Figure 1: Time Line of Major Events for Interim and Transitional Governments 

Interim Government during First Phase 

The transitional law states that a fully sovereign interim government will assume 

power in Iraq on June 30, 2004, and that the interim government will be formed 

through consultations with Iraqis and possibly in consultation with the United 

Nations. The transitional law does not specify the exact process for forming the 

interim government, nor does it define its structure or authority. It provides that the 

interim government will govern Iraq in accordance with the transitional law and the 

forthcoming annex to the transitional law to be issued before June 30. Since April 

2004, the United Nations has also been playing a key role in helping form the interim 

government. The U.N. Special Adviser on Iraq proposed that the interim government 

be a caretaker with the sole purpose of tending to the day-to-day administration of 
Page 6 GAO-04-746R Iraq’s Transitional Law

the country.4 The special adviser further proposed that a prime minister lead the 

interim government and that a president serve as head of state, with two vice 

presidents. He stated that, by the end of May 2004, it would be possible to identify 

leaders respected by and acceptable to Iraqis across the country to form this 

government. 

One key function of the interim government is to prepare Iraq for conducting 

elections for a National Assembly that will then form a transitional government. The 

transitional law provides that the National Assembly elections will be held in 

accordance with an electoral law and a political parties law. These laws do not 

currently exist and CPA officials are drafting CPA orders to address these issues, 

according to U.S. officials. According to the transitional law, two goals of the 

electoral law are to have women constitute one-fourth of the members of the 

National Assembly and to achieve fair representation for all communities in Iraq. The 

transitional law does not specify any other provisions to be included in the electoral 

or political parties laws. The U.N. Special Adviser recommended that the leaders of a 

caretaker government should not be candidates for the National Assembly. 

The U.N. Special Adviser also proposed that during the interim government phase, a 

national conference be held of at least 1,000 Iraqis representing all political parties, 

tribal leaders, universities, women’s groups, religious leaders, and others. The 

national conference would contribute ideas on how to address the security situation, 

elections, and aspects of the transitional law. According to the U.N. Special Adviser, 

a consultative council of the national conference would be available to advise the 

government on such issues. 

Transitional Government during Second Phase 

The second phase will begin after elections for a National Assembly are held and the 

transitional government is in place. Elections are to be held no later than January 31, 

2005. The transitional government will consist of separate and independent 

legislative, executive, and judicial authorities (see fig. 2). According to the 

transitional law, once elected and assembled, the National Assembly will elect the 

Presidency Council, which will then name a prime minister. The prime minister will 

recommend candidates for the Council of Ministers, which the Presidency Council 

will name. Both the prime minister and Council of Ministers will be subject to a vote 

of confidence by the National Assembly. The Presidency Council will also appoint 

judges to the Federal Supreme Court from candidates that the Higher Juridical 

Council nominates. 

 

4

In testimony before the House Armed Services Committee on April 21, 2004, and before the Senate 

Foreign Relations Committee on April 22, 2004, Under Secretary Marc Grossman of the Department of 

State noted that one of the Administration’s criteria for the interim government is that it not have a 

law-making body. 
Page 7 GAO-04-746R Iraq’s Transitional Law

Figure 2: Formation of the Iraqi Transitional Government 

The National Assembly will perform legislative and oversight functions. Composed 

of 275 members, it will develop its own internal procedures and sit in public sessions. 

It will examine bills proposed by the Council of Ministers, propose its own bills, ratify 

international treaties, and exercise oversight over the work of the executive 

authority. 

A key function of the National Assembly is to write a draft permanent constitution by 

August 15, 2005.5 The Iraqi people will then vote to approve the constitution in a 

general referendum to be held by October 15, 2005. If the permanent constitution is 

approved in the referendum, elections for a permanent government would take place 

no later than December 15, 2005, and the permanent government would take office no 

later than December 31, 2005. However, if a majority of Iraqi voters do not approve 

the draft constitution or if two-thirds of the voters in three or more governorates 

reject it, then the National Assembly will be dissolved. Elections for a new National 

Assembly would take place by December 15, 2005. The new government would 

continue to operate under the transitional law and be responsible for writing another 

draft permanent constitution. 

The executive authority of the transitional government will consist of the Presidency 

Council, prime minister, and Council of Ministers. The Presidency Council will 

consist of a president and two deputies. All decisions made by the Presidency 

Council must be unanimous. The Presidency Council may veto any legislation 

passed by the National Assembly, but the National Assembly may override a veto 

with a two-thirds majority vote. The prime minister will be responsible for the day-to-

 

5

If the National Assembly cannot meet this deadline, the President of the National Assembly may 

certify the need for additional time to write a draft constitution to the Presidency Council, but must do 

so no later than Aug. 1, 2005. The Presidency Council may extend the deadline by 6 months but may 

not extend the deadline again. 
Page 8 GAO-04-746R Iraq’s Transitional Law

day management of the government. The Council of Ministers will draw up rules of 

procedure for its work and issue regulations necessary to enforce the laws. It will 

also have the exclusive right to propose a national budget to the National Assembly. 

The transitional law modifies the existing judiciary by establishing a Higher Juridical 

Council and Federal Supreme Court. The Higher Juridical Council will supervise the 

federal judiciary and administer its budget, nominate judges for the Federal Supreme 

Court, and appoint judges to the federal courts. The Higher Juridical Council will be 

composed of judges from the Federal Supreme Court, the federal Court of Cassation, 

the federal Court of Appeal, and each regional Court of Cassation.6 The nine-member 

Federal Supreme Court will have jurisdiction over legal matters between the 

transitional government and the regional governments, governorate and municipal 

administrations, and local administrations. It will also have jurisdiction over 

complaints that a law is inconsistent with the transitional law.7

 Figure 3 illustrates 

the legislative, executive, and judicial structure laid out in the transitional law. 

Figure 3: Function and Composition of the Iraqi Transitional Government 

Provisions for Regions and Governorates

According to the transitional law, the Iraq government will be a federal system 

designed to prevent concentration of power in the federal government and to 

encourage the exercise of local authority and participation in government affairs. 

 

6

According to the transitional law, the court of cassation is the court of last resort in Iraq except where 

the Federal Supreme Court has jurisdiction. 

7

The Federal Supreme Court’s ordinary appellate jurisdiction will be defined under federal law. 
Page 9 GAO-04-746R Iraq’s Transitional Law

The transitional law recognizes the Kurdistan Regional Government as the official 

government of the territories that were administered by that government on March 

19, 2003. The Kurdistan Regional Government will continue to perform its current 

functions throughout the transitional period, except with regard to issues that the 

transitional law exclusively reserves for the federal government. Specifically, it 

retains control over the police forces and internal security and has the right to 

impose taxes and fees within the Kurdistan region. 

The transitional law allows for the formation of other regions within Iraq. Except for 

Baghdad and Kirkuk, groups of two or three governorates can form regions. The law 

does not specify how these regions could be formed but allows the interim 

government to propose mechanisms for their formation. The National Assembly 

would consider the proposal for enactment into law. Before a region can be formed, 

the people of the relevant governorates must approve the proposal in a referendum. 

Each of Iraq’s 18 governorates has the power to name a governor and form municipal 

and local councils. Elections for governorate councils will take place at the same 

time as elections for the National Assembly (no later than January 31, 2005). 

Governorate councils will have the authority to impose taxes and fees, organize 

administration of the governorate, implement projects at the provincial level 

independently or with other organizations, and conduct other activities consistent 

with applicable laws. In addition, governorate councils will assist the federal 

government in coordinating federal ministry operations within their governorates, 

including reviewing annual ministry plans and budgets as they relate to activities in 

the governorate. The transitional law also encourages the federal government to 

devolve other functions to lower levels of government where appropriate. 

Arrangements for the Multinational Force, Iraqi Security Forces, and 

Militias 

The transitional law includes some provisions for the framework under which Iraqi 

security forces and the multinational force will provide security in Iraq after the 

transfer of power on June 30, 2004. Officials from DOD, State, and CPA are 

examining what authorities in addition to the current U.N. Security Council 

resolution and CPA order may be necessary. The transitional law also outlines 

elements of the command and control structure for some Iraqi security forces and 

outlaws all militias except where provided by federal law. According to State and 

DOD officials, CPA is currently addressing issues related to these areas. 

Mandate and Legal Status of the Multinational Force

According to Article 59 of the transitional law, the multinational force will continue 

operating in Iraq pursuant to the provisions of U.N. Security Council Resolution 1511 

and any subsequent resolutions. In this resolution, the U.N. Security Council 

determined that the provision of security and stability is essential to the completion 

of Iraq’s political transition process. Toward that end, the resolution authorized a 

multinational force under unified command to take all necessary measures to 

contribute to the maintenance of security and stability in Iraq, including ensuring 

necessary conditions for implementing the political transition’s timetable and 
Page 10 GAO-04-746R Iraq’s Transitional Law

program. It also authorized the multinational force to provide security for the U.N. 

Assistance Mission for Iraq, the Governing Council for Iraq, other institutions of the 

Iraqi interim administration, and key humanitarian and economic infrastructure. In 

the resolution, the U.N. Security Council called for this mandate to expire upon the 

establishment of an internationally recognized, representative government of Iraq and 

the completion of the political process in Security Council Resolution 1511.8

 

However, the Security Council expressed readiness to consider any need to continue 

the multinational force, taking into account the views of this new Iraqi government. 

The transitional law does not specifically deal with legal immunities for the force 

during the transitional period. However, the transitional law states that CPA orders 

remain in force until rescinded or amended by legislation. According to CPA Order 

17, the multinational force is subject to the exclusive jurisdiction of their parent 

states and are immune from Iraqi legal jurisdiction.9 This immunity remains in effect 

for their acts or omissions that occur during the period of authority of CPA, which is 

due to expire on June 30, 2004. 

Senior officials from DOD and State have stated that the transitional law, U.N. 

Security Council Resolution 1511 and any subsequent resolution, and CPA Order 17 

will sufficiently address the legal status of the multinational force after the transfer of 

power on June 30, 2004. According to a senior State official, the United States is 

currently working on a new Security Council resolution on Iraq to support the June 

30 transition. According to this official, this resolution, among other things, would 

address the continuing need for security to complete the political process and would 

further define the role of the multinational force after June 30. In addition, a DOD 

official told us that CPA Order 17 is being revised and may provide more detail on the 

status of the multinational force than the current version.10 While CPA Order 17, the 

transitional law, and U.N. Security Council Resolution 1511 cover many important 

elements of the legal status of the multinational force, they do not explicitly address 

other key issues, such as the authority of the force to move its personnel, equipment, 

and supplies into and throughout the country after the transfer of power. 

Nonetheless, subsequent U.N. resolutions or other agreements could address these 

issues. 

For the transitional government phase, Article 59 of the transitional law authorizes 

the government to conclude binding international agreements regarding the activities 

 

8

Security Council Resolution 1511 lays out a political process that includes the internationally 

recognized Iraqi government assuming the CPA’s responsibilities, providing a timetable and program 

for drafting a new constitution and holding elections, and convening a constitutional conference. 

9

According to this order, in cases where coalition personnel commit an act in Iraq for which the parent 

state has no criminal sanctions, CPA may request that the parent state waive jurisdiction to try such 

acts under Iraqi law. In these cases, no legal process could begin without the written permission of the 

CPA Administrator. 

10According to the Department of Defense’s Joint Publication 1-02, a status of forces agreement defines 

the legal position of a visiting military force deployed in the territory of a friendly state. Such an 

agreement’s provisions describe (1) how the authorities of a visiting force may control that force’s 

members, and (2) the amenability of the force or its members to the local law or to the authority of 

local officials. Provisions pertaining to the status of visiting forces may be in a separate agreement or 

they may form a part of a more comprehensive agreement. 
Page 11 GAO-04-746R Iraq’s Transitional Law

of the multinational force operating in Iraq. The transitional law further states that 

nothing in the law will affect the rights and obligation under these bilateral 

agreements, or U.N. Security Council Resolution 1511 and any subsequent U.N. 

resolution, which will govern the activities of the multinational force pending the 

entry into force of these agreements. 

Control and Command of Iraqi Security Institutions

The transitional law and related CPA orders discuss the relationship between some of 

the Iraqi security forces and the multinational force after the transfer of power, as 

shown in the following table. 

Table 1: Control of Iraqi Security Forces after June 30, 2004 

Ministry Security Force Mission Force Level

As of 

5/05/04a

Requirement 

Controlling 

Authority after 

June 30, 2004 

Iraqi Armed 

Forces 

Regular 

army and 

other 

servicesb

 

Security forces that will be 

responsible for the 

defense of Iraqi territory 

when fully operational. 

4,100 35,000 The Ministry of 

Defense shall 

exercise 

administrative 

control. Coalition 

Forces will have 

operational 

control.c

 

Ministry of 

Defense 

Iraqi Civil 

Defense 

Corps 

Security and emergency 

service agency that 

directly supports coalition 

operations to provide 

security and stability. 

Complements the police 

force, but designed to 

perform operations that 

exceed the capacity of the 

police. 

29,100 41,500 The Ministry of 

Defense shall 

exercise 

administrative 

control. Coalition 

Forces will have 

operational 

control.

Iraqi Police 

Service 

Primary law enforcement 

agency responsible for 

public safety, security, 

and order. 

87,300 89,400 Not yet 

determined. 

Department of 

Border 

Enforcement 

Monitors and controls the 

movement of persons and 

goods to, from, and 

across the borders of 

Iraq. Includes Iraqi 

Border Police charged 

with border and customs 

enforcement, as well as 

immigration duties. 

15,900d

 20,400 Not yet 

determined. 

Ministry of 

the Interior 

Facilities 

Protection 

Service 

Guards who secure 

individual ministry and 

municipal facilities against 

vandalism and theft. 

74,100 75,000 Not yet 

determined. 

Sources: DOD, CPA. 

a

GAO has not performed data reliability testing on these figures. 

b

According to a CPA official, these forces include units of the Iraqi Army, Iraqi Naval Infantry (less than a battalion), Iraqi Army 

Aviation (a few helicopters and small transport planes), Iraqi Coastal Defense Force (about a half-dozen patrol boats), an Iraqi 

counterterrorism force, and associated headquarters. 

c

According to DOD’s Joint Publication 1-02, “DOD Dictionary of Military and Associated Terms,” administrative control is the 

direction or exercise of authority over subordinate organizations in respect to administration and support, including control of 
Page 12 GAO-04-746R Iraq’s Transitional Law

resources and equipment, personnel management, unit logistics, individual and unit training, readiness, mobilization, and 

discipline. Operational control is the authority to perform those functions of command over subordinate forces involving 

organizing and employing commands and forces, assigning tasks, designating objectives, and giving authoritative direction 

necessary to accomplish the mission. 

d

Figure includes Border Police and Department of Border Enforcement staff.

As shown in the above table, the Ministry of Defense and the multinational force will 

both exercise some element of control over the Iraqi Armed Forces, which now 

includes the Iraqi Civil Defense Corps. According to Article 59 of the transitional 

law, the Iraqi Armed Forces will be a principal partner in the multinational force 

pursuant to the provisions of U.N. Security Council Resolution 1511 and any 

subsequent resolutions during the transitional period. Issued on March 21, 2004, 

CPA Order 67 provides more detail on this relationship. The order established the 

Ministry of Defense, placed the Iraqi Armed Forces under the administrative control 

of the Ministry of Defense, and stated that the Iraqi Civil Defense Corps will be 

transferred to the Iraqi Armed Forces by June 1, 2004. The order stated, that 

pursuant to the provisions of U.N. Security Council Resolution 1511, all trained 

elements of the Iraqi Armed Forces will at all times be under the operational control 

of the Commander of the multinational force for the purpose of conducting combined 

operations and providing other support in accordance with CPA orders. CPA Order 

73 formally transferred the Iraqi Civil Defense Corps to the Ministry of Defense as a 

component of the Iraqi Armed Forces on April 22, 2004. 

According to Article 39 of the transitional law, national command authority on 

military matters during the transitional government phase is to flow from the prime 

minister to the minister of Defense to the military chain of command of the Iraqi 

Armed Forces. The law does not define national command authority during the 

interim government phase, which begins on June 30, 2004. According to CPA Order 

67, the Ministry of Defense will operate under the authority, direction, and control of 

the CPA Administrator until the transfer of full governance authority to the Iraqi 

interim government. 

As of May 5, 2004, the CPA Administrator exercised control over the Iraqi Police, 

Border Police, and Facilities Protection Service through the Ministry of the Interior. 

The Facilities Protection Service differs somewhat from the other forces in that its 

personnel are regulated by the Ministry of the Interior, but are paid and operate under 

the immediate command of the individual Ministry employing them. DOD officials 

have told us that all of the Ministry of Interior forces listed in the above table will be 

under the control of the multinational force after June 30; however, this arrangement 

has not been explicitly stated in any legal documents published by DOD or CPA. 

Future of Iraqi Militias 

Article 27 of the transitional law specifies that armed forces and militias not under 

the command structure of the Iraqi transitional government are prohibited, except as 

provided by federal law. The transitional law does not address the status of militias 

under the interim government or establish mechanisms to disband or integrate 

militias into Iraq’s security forces. However, according to CPA officials, they are 

working with political and militia leaders to encourage members of the militias to 

play a role in security by enlisting in the Iraqi Armed Forces and Iraqi Civil Defense 

Corps. For example, CPA is negotiating with Kurdish leaders on the transition of 
Page 13 GAO-04-746R Iraq’s Transitional Law

members of the Pesh Merga into national security structures, job placement, or 

retirement. State Department officials said that it would take time to address the 

transition of militias. Presently, four major militias and numerous smaller militias are 

operating in Iraq. Table 2 provides information about some of these militias. 

Table 2: Some Militias Present in Iraq 

Militia Political Affiliation Location in Iraq Number

KDP Pesh Merga Militia of the Kurdistan Democratic 

Party 

Northern portion 31,000 active 

PUK Pesh Merga Militia of the Patriotic Union of 

Kurdistan 

Northern portion 13,000 active 

Badr Brigades Militia of Supreme Council for 

Islamic Revolution in Iraq, a Shiite 

Islamic Fundamentalist group that 

has ties with Iran 

Southern portion 8,000 active 

Mahdi’s Army Followers of Muqtada al-Sadr, the 

radical Shiite leader 

Central and southern 

portions 

2,000-5,000 active

Source: CPA and Congressional Research Service Reports on Iraq.11 

Mechanisms for Resolving Disputes Over Property Rights and Territory 

during the Transitional Government Phase 

The transitional law includes three provisions for the transitional government to 

implement related to resolving disputes over property rights and territory. These 

disputes resulted from the previous regime’s practices in altering the demographic 

character and boundaries of certain regions and territories, including Kirkuk.12 

Article 58(A) outlines mechanisms for resolving disputes over property rights; 

Articles 58(B) and (C) discuss the possible mechanisms and timing for determining 

the status of disputed territories. 

Article 58(A) of the transitional law calls for the Iraqi transitional government, 

particularly the Iraq Property Claims Commission13 and other relevant bodies, to take 

measures to remedy the injustice caused by the previous regime’s practices in 

altering the demographic character of certain regions by expelling or relocating 

people. For residents who were deported, expelled, or who emigrated, such 

measures include restoring to them their homes and property, or, where this is 

 

11Iraq: U.S. Regime Change Efforts and Post-War Governance, August 29, 2003; Iraq: U.S. Regime 

Change Efforts and Post-Saddam Governance, February 23, 2004, Congressional Research Service. 

12According to the 2003 State Department Human Rights report, the previous regime had systematically 

forced the removal of ethnic minorities under its admitted policy of “Arabizing” arable land. 

Specifically, the regime “Arabized” certain Kurdish areas, such as the urban centers of Kirkuk and 

Mosul, through the forced movement of local residents from their homes and villages and their 

replacement by Arabs from outside the area. Moreover, non-Arab citizens—people with Kurdish, 

Turkmen, Chaldean, or Assyrian identity—were forced to either change their ethnicity on their identity 

documents and adopt Arabic names or be expelled to the Kurd-controlled northern provinces. 

13CPA Regulation 8 delegated authority to the Iraq Governing Council to establish the Iraq Property 

Claims Commission for the purpose of collecting and resolving real property claims. The Iraq Property 

Claims Commission statute, effective January 15, 2004, establishes the Commission and outlines its 

structure, procedures, and general principals. 
Page 14 GAO-04-746R Iraq’s Transitional Law

infeasible, providing just compensation within a reasonable time, in accordance with 

the Iraq Property Claims Commission statute and other laws. For those people who 

had been newly introduced to specific regions and territories, the transitional 

government will ensure such individuals may be resettled, compensated, or possibly 

receive new land near their residence in the governorate from which they came, in 

accordance with the Iraq Property Claims Commission statute. The provision also 

states that the transitional government will permit affected persons the right to 

determine their own national identity and ethnic affiliation free from coercion and 

duress. 

Two other provisions, Articles 58(B) and (C), discuss the possible mechanism and 

timing for determining the status of disputed territories whose administrative 

boundaries the previous regime had altered for political ends. Article 58(B) 

establishes a process Iraqis will use to resolve these disputes before requesting 

assistance from the United Nations. The article calls for the Presidency Council of 

the Iraqi transitional government to recommend remedies to the National Assembly 

to rectify such situations in the permanent constitution. If the Council cannot 

unanimously agree on a set of recommendations, it will appoint a neutral arbitrator to 

examine the issue and make recommendations. If the council cannot agree 

unanimously on an arbitrator it will request the U.N. Secretary General to appoint a 

distinguished international person to be the arbitrator. Article 58(C) states that the 

permanent resolution of disputed territories, including Kirkuk, will be deferred until 

after these measures are completed, a fair and transparent census has been 

conducted, and the permanent constitution has been ratified. The provision also 

states that the permanent resolution will take into account the will of the people of 

those territories. 

Summary 

The transitional law provides a road map for establishing a permanent, unified, and 

democratic government in Iraq. Nonetheless, some issues related to the transfer of 

power remain unresolved. For example, the transitional law does not specify how 

the interim government is to be formed or structured, but states that the interim 

government will govern in accordance with an annex to be developed. Since April 

2004, the United Nations has been playing a key role in helping to structure the 

interim government. However, to date, the interim government’s specific authorities 

and responsibilities remain undefined. In addition, the electoral law for the National 

Assembly is to be completed before June 30, 2004, according to U.S. officials. 

Without an electoral law, the National Assembly cannot be formed. Finally,

according to State Department and DOD officials, the transitional law and U.N. 

Security Council Resolution 1511 authorize the multinational force to operate in Iraq 

after June 30, and a new resolution may further define its role. However, the 

Secretary of State said in mid-May that if the Iraqi interim government asked the 

multinational force to leave, the force would leave. He did not expect this to happen. 

Although there are many difficult issues to be resolved, U.S. government and Iraq 

Governing Council officials, along with the United Nations, have only until June 30 to 

complete the work needed to ensure a smooth transition. 

The transitional law contains some provisions addressing two of the key challenges 

facing the interim and transitional governments—maintaining a unified Iraq and 
Page 15 GAO-04-746R Iraq’s Transitional Law

ensuring its security—but many issues remain open. The law recognizes the 

Kurdistan Regional Government and gives it control of territories in six governorates 

that it controlled before the war in Iraq. Since two-thirds of the voters in any three 

governorates can reject any draft constitution, Kurdistan or any three governorates 

could have significant influence on Iraq’s political unity. The transitional law also 

recognizes the need to structure Iraq security forces as the country strives to form a 

unified permanent government, but does not fully detail how this will occur. For 

example, coalition and Iraqi officials are still working out the command and control 

structure of Iraqi security forces under the Ministry of the Interior. In addition, the 

transitional law does not establish mechanisms to disband or integrate militias into 

Iraq’s security forces. If not resolved before June 30, the issue will be left to Iraq’s 

interim or transitional government to address. 

- - - - - 

We are sending copies of this letter to interested congressional committees. The 

letter is also available on GAO's home page at http://www.gao.gov. If you or your 

staff have questions, please contact me at (202) 512-8979 or christoffj@gao.gov. Key 

contributors to this report included Tetsuo Miyabara, Judith McCloskey, Valérie 

Nowak, Mary Moutsos, Lynn Cothern, Robert Ball, Julie Chao, David Hancock, and 

Stephanie Robinson.

Joseph A. Christoff 

Director 

International Affairs and Trade 

(320263) 
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